Integra to sell five neurosurgical products lines to appease FTC over J&J’s Codman deal

29 September 2017 (Last Updated October 23rd, 2017 12:28)

Integra LifeSciences and Johnson and Johnson (J&J) have decided to divest five neurosurgical medical device product lines to Natus Medical to settle a complaint filed by the Federal Trade Commission (FTC).

Integra LifeSciences and Johnson and Johnson (J&J) have decided to divest five neurosurgical medical device product lines to Natus Medical to settle a complaint filed by the Federal Trade Commission (FTC).

The complaint was filed against Integra’s proposed $1bn acquisition of J&J’s Codman Neuro division and stated that the deal would have a negative impact on neurological devices market in the US.

As per the Commission, the impacted device markets would include intracranial pressure monitoring, cerebrospinal fluid collection and fixed-pressure valve shunt systems, non-antimicrobial external ventricular drainage catheters, and dural grafts.

In the country, Integra and Codman account for 94% of the intracranial pressure monitoring systems market, 71% of the cerebrospinal fluid collection systems, 46% of the non-antimicrobial external ventricular drainage catheters, 38% for fixed pressure valve shunt systems, and 75% for dural grafts.

"The devices are expected to complement Integra's portfolio of tissue ablation, dural repair, and cranial stabilisation products, allowing it to offer the entire range of neurosurgical solutions."

A consent agreement signed by Integra and J&J allows the Commission to monitor compliance with the orders on divestment.

Integra and J&J entered a binding offer in February for the Codman Neurosurgery business, which includes hydrocephalus, neuro-critical care, and operative neurosurgery devices.

The devices are expected to complement Integra's portfolio of tissue ablation, dural repair, and cranial stabilisation products, allowing it to offer the entire range of neurosurgical solutions.